ISSUE 2 - MARCH 2009





The Latest from Sean Cassidy

Marketing in a Recession Means not "Celling Out"

I find few aspects of this business more satisfying than using 21st-century public relations tools and methodology – along with a healthy dose of creativity – to help market timeless, iconic brands in innovative ways.

DKC client brands such as Lionel, Reader's Digest, Esquire, Delta Air Lines, Topps, Junior's Cheesecake, New Balance and Spalding all grew up at a time of American strength and optimism. They have a clear sense of who they are and offer the promise of authenticity to consumers. Their solid and deep roots remind us of better times; their longevity inspires confidence in the future.

These brands offer a refreshing contrast to the slick, brash business culture which had become seemingly ubiquitous in the years leading up to the global economic collapse.

The culture I am referring to is epitomized in a character called "The Cell Out" that DKC and our friends at Creative Artists Agency created as a part of a viral program for Delta Air Lines. Released a couple of years ago as a series of digital shorts, (from which the "The Cell Out" ended up on the cutting room floor), "Planeguage" was a satirical guide to air travel spoofing some of the characters and experiences encountered by frequent fliers.

Anyone who regularly flies for business knows "The Cell Out." He's the guy who must be in electronic communication with someone, somewhere, at all times.

He's on a conference call while loading his bag in the overhead bin; ringing up his dealmaking buddy as he fastens his seat belt; squeezing the last seconds out of a call to the Coast as the flight attendant reminds him for the fourth time to turn off his phone. The offender blithely assumes all that blabbing about his business within earshot of 150 travelers translates into a perception of value and service.

As I look to where our business is expanding in these challenging times, we have observed solid growth coming from companies that run from the slick excess personified in "The Cell Out." Over the last few months, we have been involved in some very interesting, high-profile campaigns supporting long-standing, quality brands whose corporate cultures frown at such boorishness and the excesses of the last few years.

From Facebook pages featuring classic Richard Tyler-styled Delta flight attendants to YouTube hits of the Today hosts playing with Lionel model trains to a New York Times story heralding the magazine world's first digital cover from Esquire – there is great opportunity now for brands to use new media to confidently talk about who they are and where they are going without the artificial hubris of "The Cell Out."

Case Study

Nostalgic Consumers Play with Lionel and Revive a Brand

Introduction:
In this time of economic adversity, consumers are increasingly turning to the time-honored, feel-good brands that they remember from their childhood. This presents opportunities to revitalize brands that may have fallen victim to changing tastes over the last few decades. This past holiday season, DKC played a crucial role in reviving one such brand, Lionel LLC, the 100 year-old New York-based maker of model trains, as it emerged from bankruptcy.

Lionel, which at its peak – in the mid-1900s – was the world's largest toy manufacturer, had suffered 30-plus years of market share decline and numerous changes in corporate ownership. As pop culture tastes moved more in the direction of action figures and video games, Lionel became increasingly reliant on a rapidly diminishing market of aging train enthusiasts and a distribution network comprised of small individually-owned hobby stores.

In the middle of the worst economic downturn since World War II, Lionel CEO Jerry Calabrese and his management team partnered with DKC to reclaim Lionel's once iconic brand status. Lionel and DKC created a two-pronged marketing strategy aimed at 1) greatly increasing sales and market share among children and first-time model train users; and 2) maintaining Lionel's long-standing appeal among high-end model train enthusiasts.

Timeframe:
November-December 2008

Strategy:
DKC executed a national, consumer-focused media relations program that stimulated interest in Lionel among key audiences, namely mass market consumers and the greater business community. To the mass market consumer, DKC positioned Lionel as a fun, safe and inexpensive alternative to video games that gives children and parents a shared experience. In outreach to the business community, DKC framed Lionel's re-emergence in the retail and licensing spaces within a larger shift by consumers toward traditional, moderately-priced toys during the 2008 holiday season.

Tactics:
DKC implemented a wide-ranging media relations campaign that reached all target audiences. Among the highlights included:

  • A four-minute live segment on NBC's Today Show, during which hosts Matt Lauer, Meredith Vieira, Al Roker and Ann Curry talked about the resurgence in the popularity of Lionel and trains in general amid a 5' x 9' working train set layout on the Today Show plaza. DKC arranged for Lionel to create customized boxcars with photos of the Today Show talent.
  • Numerous feature stories on the resurgence of Lionel and the popularity of model trains in such major national and regional media outlets as: The New York Times, The Wall Street Journal, Associated Press, The New York Daily News, Newsday, am New York, The Boston Globe, The Newark Star-Ledger, The Chicago Tribune, The Los Angeles Times, The Bergen Record and CNN.
  • Connections between Lionel and high-profile individuals and brands where there were opportunities for strategic partnerships. DKC arranged for Fall Out Boy's Pete Wentz – another DKC client – and actor Ed Burns to receive their own Lionel trains, paving the way for an US Weekly "Buzz-O-Meter" feature highlighting Lionel as a super-hot toy for the 2008 holiday season.
  • In addition, DKC leveraged the opening of a major layout at New York's Grand Central Terminal – another DKC client – as an opportunity to generate national publicity for the introduction of the NYCTA R27 and Metro-North M7 trains.

Results:
DKC exceeded Lionel's goals for the holiday season, with media coverage that generated:

  • Nearly 25 million media impressions
  • Total circulation of 8.2 million
  • Calculated advertising value of $2.8 million

Perhaps most importantly, through this campaign, DKC helped Lionel reclaim its status as a beloved American brand, allowing it to prosper despite an incredibly difficult economic landscape.


Opinion

Video Games: Endorsed by Teens, Seniors, Even the President

The decline of traditional forms of media has forced marketers to think differently when considering how to build their brands. While print and broadcast media sputter, an emerging alternative channel that brand managers must now consider is video gaming, a platform that can transform the way consumers receive brand messages. No longer are video games confined to the enthusiast set; rather, gaming is a mass market entertainment industry that rivals Hollywood in terms of revenue generated. From suburban families to senior citizens to tween girls, consumers from all demographic groups are taking part in the video game revolution. The emergence of the casual gamer as a lucrative consumer segment makes this medium an attractive option for a wide range of brands.

The relevance that the video gaming industry has achieved in today's cultural landscape means that in-game marketing can serve as an effective brand awareness tool. Millions of gamers anticipate the release of top selling titles, such as those that make up the Grand Theft Auto or Madden franchises, as eagerly as a blockbuster movie. Accordingly, brands that integrate themselves effectively within a high-profile game can garner substantial publicity. Just as the movie-going public knows what brand of car James Bond drives prior to seeing the film, one can easily imagine a top car brand building a similar level of publicity for its integration into a highly anticipated racing game. Product placement is a powerful method for reaching target audiences when executed within the context of the game and expertly promoted.

In addition to awareness, video games provide marketers with the ability to develop strong bonds between their brands and consumers. Unlike print and broadcast media, a video game is a participatory medium - there the opportunity for a higher level of consumer engagement than magazines or television can offer. Those brands that can add value to the gamer's experience by taking an experiential approach to in-game marketing are the most likely to form long-term relationships with consumers.

One brand that has taken a smart approach to consumer engagement within video games is Procter & Gamble's CoverGirl. The beauty brand recently collaborated with video game publisher THQ, a DKC client, to neatly integrate its branded products into the game All Star Cheer Squad. The game, which follows the life of a cheerleader, allows the player to create the cheerleader's look using CoverGirl-branded apparel and cosmetics. In this strategic partnership with All Star Cheer Squad, CoverGirl has created an authentic experience because it has embedded its brand into the heart of the game; it is not a peripheral distraction.

Online gaming networks – offered by each of the major console makers – present brands with a dimension of flexibility to complement the content behind their marketing messages. Online services such as Xbox 360 Live or PlayStation Network combine the experiential nature of video games with the micro targeting potential of online advertising. In October 2008, Barack Obama's presidential campaign targeted young male voters in numerous swing states by placing eye-catching Obama-branded billboards within ten games on the Xbox 360 Live network. While we cannot know how many gamers who were exposed to the Obama billboards voted for him, the message indisputably reached the target audience at the intended time and in the intended areas.

The current economic downturn will likely heighten the importance of the gaming industry, as the public turns to inexpensive forms of entertainment. Consumer-focused marketers will be well served to take note of the ubiquitous presence video games continue to take on in society and leverage its inherent benefits as a medium.

DKC News

DKC and Abrams Research Team Up to Provide Unique Value to Clients

DKC and Abrams Research have formed a strategic partnership to offer businesses a 360° perspective to address media challenges. Abrams Research is the brainchild of former MSNBC anchor and legal analyst Dan Abrams. The firm is a first-of-its kind consultancy that gives businesses an insider’s perspective on the way media will view their organizations and brands. High-level strategic insight from top media professionals, including DKC, combined with the most up-to-date research data are the hallmarks of the Abrams Research offering.

DKC will complement Abrams Research’s extensive network of journalists, authors, bloggers and communications professionals with its signature idea-driven approach to client communications.

A vital member of the Abrams Research network, DKC provides the same high level of creative thinking and strategic advice that it offers on a daily basis for its diverse client base. DKC regularly works with both established and up-and-coming organizations in areas including corporate, consumer products, media properties, public affairs, government, not-for-profit, healthcare, sports business, creative properties, and entertainment.

"The new media landscape means that businesses are under more scrutiny than ever before, from online, broadcast and print outlets," said Sean Cassidy, President of DKC. "The need for insightful research and communications support has not changed, despite the economy. We are thrilled to accompany the impressive network of media professionals in the Abrams Research network to help organizations from all industries work more effectively with the media."

"The mission of Abrams Research is to help businesses accomplish their goals by guiding them through today’s complex media landscape," said Abrams. "DKC has a formidable track record in doing just that, by consistently adding measurable value to its clients’ brands. The firm is an ideal partner."

Playing a central role in the direction of Abrams Research is the firm’s Advisory Board, comprised of some of the most respected names in the industry, across all forms of media: former NBC Universal Chairman Bob Wright, HBO's Bryant Gumbel, Court TV founder Steven Brill, former American Media Editorial Director Bonnie Fuller, Men's and Women's Health editor David Zinczenko, Curbed Network founder Lockhart Steele, former New York Times Sunday Business editor Judith Dobrzynski, and NBC Travel editor Peter Greenberg.